Google-Wiz ‘Litmus Test’ Trump Admin For Development of Big Tech

Seven months ago, Alphabet Biden Administration lost a Marquee case against the Justice Department, the company provided illegal monopolies. Weekly, Google’s cyberectoryure seller’s magic, the biggest deal was, bright partial due to antitrest concerns.

With Donald Trumps Get back to the White House, and treats the alphabet.

Alphabet on Tuesday agreed In mid-2024, to receive a WIZ to earn about $ 10 billion in the price offered to earn $ 10 billion, and it is expected to postpone the delayed year, he said.

Wiz will seat in the Google’s Cloud section, which is far from the company’s dominant search work. Google behind Amazon and Microsoft In the cloud infrastructure, a situation that will regulate a tie against a tie for any management.

The Federal Trade Commission under Lina Khan was associated with respect for technological deals, aggressively operations nervous Reid Hoffman and Mark Cuba are democratic support as Mark License. Google’s Wiz’s follow-up can be the first major test for the chair of the new FTC, because the Tech industry will treat the 6 largest US company in the 6 largest US company.

“It will be an excellent litmus test for M & A in 2025,” Brad Haller said, combination and purchase partner in the Western Monroe consulting firm. “This means that this year is relatively early, it means it can be used as a measuring bar.”

As an enterprise-supported company, the transaction would be a major wind for Silicon Valley, which struggles to create returns from the market, which offers the original community since the market mainly closing At the beginning of 2022 and the Great M & A went inactive. After the peak at $ 780 billion in 2021, the cost of the VC is $ 89.2 billion this year and in 2023 to $ 71.6 billion. October Report From the Pitchbook and National Venture Capital Union. In the third quarter of 2024, the number hit five quarters.

“The extensive purchase strategy returns from the menu for companies that support VC,” said Haller.

Index enterprises are the largest foreign investor who watches companies, including the capital, Insight Partners and cybertards.

While walking away from a deal with Google in July, WIZ co-founder Assaf Rappaport wrote a memorial to the company who will follow an IPO instead. As an artificial intelligence infrastructure company, there are some signs of the IPO market where CoreweaveThe start of digital health HINGE HEALTH Buy now, pay the lender later Clear Spend all avenues with seconds recently.

Economic uncertainty represents the largest heading, as President Trump’s best trade partners, as well as government spending, as well as major market volatility, and concerns related to business and consumer confidence. Nasdaq, since 2022, has been PACE for the fifth weekly drop and the worst quarterly performance.

For Google, the obtaining Wiz’s allure is worth the risk of potential adjustment. Reuters reportedWith reference to a source, Wiz agreed to receive a term of a term for more than $ 3.2 billion, which was called “one of the highest rights in the history of M & A.”

Google refused to comment.

Founded in 2020 Wiz Hit $ 100 million in annual recurring income In only 18 months. The company includes cloudy security products, active detection and response, and rapid improvements in AI are increasingly important because it is more complex and more potentially damaged.

“This price label has said that Gordon Hafett’s analysts wrote Gordon Haskett analysts before the EU’s adoption,” This price label is almost helpless, “he said.

Google told a statement On Tuesday, “Acceptance of the EU’s growing role and cloud services, sharply changed the security landscape for customers, and Kibbie is more important in protecting the opposition and maintaining national security.”

In Wiz Blog PostRappaport, “Being a part of Google cloud, hits a rocket effectively in our back.”

The deal will face a regulatory study, but Google, in our opinion, there would be a stronger case compared to consumer-oriented procurement, “he said. The company said that Google has less than 15% of the cloud services market.

Google’s largest purchase in Biden’s presidency was a $ 5.4 billion purchase of CyberCurity Claim. The search giant was not the only major technological company that felt the regulatory heat.

For Microsoft to close in the end Getting $ 69 billion In late 2023, the video game Publisher Activation Blizzard had to endure the 21-month battle with regulators, including instructions by the company FTC. Agency as well claim block Meton Although a California District Court, the purchase of a virtual reality company cut-off Efforts of FTC.

Beyond the problems of dejecting, meta, AppleAll of Amazon and Microsoft have been accused of justice department or monopolistic practices by FTC. In Google’s work, both institutions followed the actions.

Khan said in January that CNBC’s Squawk box said that the incoming Trump management did not allow Amazon and Meta to allow the antitrust suits to be out of the fork. His comments came after numerous technological performers and companies, Including GoogleHe put money to the Trump’s Andekit Fund.

Although Ferguson did not offer a lot with FTC’s features, FTC was waiting for the technological point of view. During the first leadership of Trump, the president, industrial, regularly had an especially hostile flutter Amazon founder Jeff bezosespecially for the owner of the Washington post, as well as to aim to go to Meta and Google alleged biases toward the management.

These past enemies have made extra effort to change the tone this time this time last Trekking to Washington after the opening of repairs, capital and inclusion programs or Trump before To visit his Mar-a-Lago resort in Florida.

In an interview with Squawk Box last week, Ferguson “Great Tech is one of the main priorities of the management,” Ferguson said.

“President Trump appointed me to protect Americans in the market,” Ferguson said. “And since the first day, the great technology is one of our main priorities, and it remains true.”

Jonathan Kanter, a former assistant for the antitrest distribution under the Biden gossip On Tuesday, CNBC is believed to be on the road for the Google Wiz bar with the Heftdi regulatory study. He said that this is not only a Google position in the cloud, but also the amount of information provided by the company.

“I don’t think the WIZ deal will be easier than the road to be approved quickly,” Kanter, who is now CNBC contributor. “It will be a long way. They will understand a large number of information and really intend to realize a large number of information and the fact that Google intends to realize the market.”

– CNBC’s Jordan Novet and Samantha Subin contributed to this report.

Follow: Full interview with CNBC’s FTC Chair Andrew Ferguson